What is a Swap token and how do you use it?

Many people do Airdrop and receive Token as a reward, but the Token is not listed on the exchange. It does not mean that the coin has no value because in addition to the exchange, there is also Token Swap, which many projects choose to create a liquidity pool for Exit.

What is a Swap token?

Swap Token is the process of exchanging one token for another directly through the blockchain system or a decentralized exchange platform (Decentralized Exchange – DEX) without the need for cash or banks.

Example: Exchange from ETH → AVC or Exchange from AVC → USDT

How Swap Token Works

1. Users select a source token (Token A) and a destination token (Token B).
2. The system automatically calculates the exchange rate using a liquidity pool, which is a group of tokens that other users have deposited.
3. When the user confirms the swap, the system will deduct Token A from the wallet and send Token B back.

How is Swap Token different from Trading?

Although Swap token and Trading seem similar because they are both exchanges of one token for another, there are actually several clear differences, as follows:

Swap Token

Swap Token is the exchange of one token for another instantly through DEX (Decentralized Exchange).

Highlights of token swap

• Fast, no need to place a trading order
• No need to wait for buyers/sellers
• No need to go through a middleman (P2P via Smart Contract)
• Use your own wallet, such as Metamask, Trust Wallet

Disadvantages of token swapping

• High slippage if liquidity is low
• You may get lower rates than trades on high volume markets

Trade on Exchange

It is the purchase or sale of assets on CEX (Centralized Exchange) such as Binance, Bitkub, Coinbase by the order matching system.

Highlights of Trade on Ex

• Get real market prices in real time
• Use Limit/Market/Stop commands
• Have analysis tools and charts

Disadvantages of trading on Exchange

• Must register an account + KYC
• The money is in the hands of the Exchange (not holding the Private Key itself)
• Risk of account closure if the conditions are violated

Simple summary

Swap = Instant exchange, easy, no account required

Trade = Real trading in the market, with an order matching system

If Babe wants to “just exchange tokens quickly” → Use Swap
If Babe wants to “place pre-orders or trade seriously” → Use Trade on CEX

How to Swap Tokens in Detail

Animalverse Team will explain in the easiest and most detailed way possible. Let’s start by looking at the steps to swap tokens, suitable for beginners who use DEXs such as PancakeSwap, Uniswap or 1inch.

Swap Token Procedure (Basic)

1. Prepare your wallet
   Metamask
   Trust Wallet
   Hardware wallet
   In the wallet and the coin you want to Swap is inside, such as BNB, ETH, USDT, AVC, etc.
   
2. Select the DEX platform to use
   PancakeSwap (use with BNB Chain)
   Uniswap (use with Ethereum, Polygon, etc.)
   1inch (multiple DEX)
   
3. Connect your wallet to the DEX website
   Press the Connect Wallet button → Select the wallet you are using (Confirm via an app or browser plugin, such as Metamask)
   
4. Select source token → destination
   Example: From: BNB To: USDT
   Enter the amount you want to swap → The system will calculate the exchange rate.
   
5. Check the fee (Gas Fee + Slippage)
   The fee depends on the network, for example Ethereum is more expensive than BNB
   Check the slippage (price discrepancy) such as 0.5% or 1%
   
6. Press to confirm the swap.
   Click the Swap button → The system will show the details → Click Confirm again → Then confirm the transaction in the wallet (e.g. Metamask)
   
7. Wait for transaction to complete
   It takes about 5–60 seconds depending on the network speed → Once complete, new tokens will appear in the wallet automatically

Summary of how to swap token

Just connect your wallet → select a coin → press confirm → wait to receive new tokens.

Reference : Community

Join our gang by purchasing the Animalverse Club NFT, which is the key to accessing a ton of benefits.
Animalverse SoicialFi is a web3 social media platform designed to connect users around the world without the influence of algorithms, promoting equal access to information. The platform aims to create a decentralized environment where users can freely share and consume content and send crypto, which is fully consistent with the principles of blockchain technology. Let’s be a part of AVC ecosystem  Home  BlackMarketplace  Groups  Games  Jobs  Blog News